Alibaba-backed Hellobike has raised new funds as it goes to Ride-hailing service

Today, China-based startup Hellobike which is the Company’s third-largest Bike-sharing app has raised new funds, according to the Analysis data. It was announced this week as it raises “billions of yuan” ($1 = 6.88 yuan) in a new round, the company further decline to reveal the details on the funding amount and use of the proceeds.

Another Chinese bike-sharing giant Ofo is backed by Alibaba, not only Ofo but Hellobike also falls under the Alibaba camp. By May, Just Only 5 percent of Hellobike’s users were in China’s Tier 1 cities whereas the ratio for both Mobike and Ofo were over 30 percent. The small-town strategy gives Hellobike an advantage because the bike-sharing markets in China major cities become crowded, and the operators began to shift in Lower-tier cities in 2017, stated in a report of China Academy of Information and Communications Technology.

Ofo and Mobike command 43 million and 38 million in monthly mobile installs while Hellobike stands at 8 million, that’s why Hellobike is shadowed by its bigger competitors in terms of number. The company does not want to stop at two-wheeler production, in September, they rebranded their Chinese name to HelloTransTech to add up an extension into other transportation means.

Apart from bikes, they also offer electric bikes, ride-hailing and carpooling, these ride-hailing services has become the reason for passenger killings on Didi Chuxing. Back in May and August, two female customers were killed separately when they used the Hitch service on Didi.

Didi is China’s biggest ride-hailing platform which takes over China’s Uber business, however, these killing incidents have raised a huge public and regulatory backlash, ultimately forcing Didi to end its carpooling service up to this day. Although, Hellobike decides to recruit carpooling drivers and start a campaign to ensure safety measures and to rebuild customer confidence in ride-hailing service.